Survey: 94% of Business Owners Don’t Want Children as Successors

A survey recently done by Versta Research for Wells Fargo found that more than half of business owners in the United States do not desire for their children to inherit their businesses, Small Business Trends reports.

The survey consisted of over 1,000 U.S. adults aged 50 or older who hold at least $1 million in investable assets. Of those surveyed, 94% responded that they want their children to create a career for themselves rather than inherit their business. 

These results reflect the findings of the 2022 Ratchet+Wrench Industry Survey Report, which found that only 25% of respondents planned on leaving their business to their offspring.

With nine out of ten respondents saying that their success was a result of “hard work and determination” and two-thirds placing a high value on receiving a good education, parents seem to put more weight on empowering their children to create their own path.

Nearly half of the parents surveyed also expressed concern over their children’s ability to generate their own wealth independently, with 81% of respondents also reporting that they would be willing to help their children out of financial hardships.